House File 834 - Introduced



                                       HOUSE FILE       
                                       BY  SWAIM


    Passed House,  Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to reimbursement for prescription drug expenses
  2    by certain providers of health benefit coverage.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 2590HH 82
  5 av/je/5

PAG LIN



  1  1    Section 1.  NEW SECTION.  514C.23  PRESCRIPTION DRUG
  1  2 REIMBURSEMENT.
  1  3    1.  A provider of third=party payment or prepayment of
  1  4 prescription drug expenses that reimburses covered individuals
  1  5 or pharmacies for prescription drug expenses of a covered
  1  6 individual pursuant to a health benefit coverage policy,
  1  7 contract, or plan shall provide reimbursement to the covered
  1  8 individual or pharmacy not more than two weeks after receiving
  1  9 a claim for reimbursement.
  1 10    2.  This section shall not apply to prescription drug
  1 11 coverage provided through or in conjunction with any of the
  1 12 following:
  1 13    a.  Accident=only or disability income insurance coverage.
  1 14    b.  Hospital confinement indemnity coverage.
  1 15    c.  Coverage issued as a supplement to liability insurance.
  1 16    d.  Basic hospital and medical=surgical expense coverage.
  1 17    e.  Liability insurance, including general liability
  1 18 insurance and automobile liability insurance.
  1 19    f.  Workers' compensation or similar insurance.
  1 20    g.  Automobile medical payment insurance.
  1 21    h.  Credit only insurance.
  1 22    i.  Coverage for on=site medical clinic care.
  1 23    j.  Dental or vision coverage.
  1 24    k.  Benefits for long=term care, nursing home care, or
  1 25 community=based care.
  1 26    l.  Short=term hospital, medical, or major medical
  1 27 coverage.
  1 28    m.  Medicare supplemental as defined pursuant to 42 U.S.C.
  1 29 } 1395ss(g)(1), coverage supplemental to the coverage provided
  1 30 under 10 U.S.C. } 1071=1109, and similar coverage that is
  1 31 supplemental to coverage under group health insurance coverage
  1 32 as defined by the commissioner of insurance.
  1 33    n.  Any other similar limited benefits as defined by the
  1 34 commissioner of insurance.
  1 35    3.  As used in this section, unless the context otherwise
  2  1 requires:
  2  2    a.  "Prescription drug" means prescription drug as defined
  2  3 in section 155A.3 and includes a device as defined in section
  2  4 155A.3.
  2  5    b.  "Provider of third=party payment or prepayment of
  2  6 prescription drug expenses" or "provider" means a provider of
  2  7 an individual or group policy of accident or health insurance
  2  8 or an individual or group hospital or health care service
  2  9 contract issued pursuant to chapter 509, 514, or 514A, a
  2 10 provider of a plan established pursuant to chapter 509A for
  2 11 public employees, a provider of an individual or group health
  2 12 maintenance organization contract issued and regulated under
  2 13 chapter 514B, a provider of an organized delivery system
  2 14 contract regulated under rules adopted by the director of
  2 15 public health, a provider of a preferred provider contract
  2 16 issued pursuant to chapter 514F, a provider of a self=insured
  2 17 multiple employer welfare arrangement, and any other entity
  2 18 providing health insurance or health benefits which provide
  2 19 for payment or prepayment of prescription drug expenses
  2 20 coverage subject to state insurance regulation.
  2 21                           EXPLANATION
  2 22    This bill provides that certain providers of third=party
  2 23 payment or prepayment of prescription drug expenses that
  2 24 reimburse covered individuals or pharmacies for prescription
  2 25 drug expenses pursuant to certain health benefit coverage
  2 26 policies, contracts, or plans are required to provide such
  2 27 reimbursement to the covered individual or pharmacy not more
  2 28 than two weeks after receiving a claim for reimbursement.
  2 29 LSB 2590HH 82
  2 30 av:nh/je/5